SOA Exam FM Sample Question 113
Study guide: Exam FM-2
Which of the following is an expression for the present value of a perpetuity with annual payments of 1, 2, 3, …, where the first payment will be made at the end of n years, using an annual effective interest rate of i?
- A)
\dfrac{\ddot{a}_{\overline{n}|} - nv^n}{i} - B)
\dfrac{n - a_{\overline{n}|}}{i} - C)
\dfrac{v^n}{d} - D)
\dfrac{v^n}{d^2} - E)
\dfrac{v^n}{di}
Answer this question and see the worked solution